Senator Murray and Co. Say ‘No’ to Return of MTA Payroll Tax


This time, Murray won't take 'yes' for an answer. | NYS Senator Dean Murray

“New Yorkers are sick and tired of being the "go to" solution when the MTA needs more money,” said New York State Senator Dean Murray, of the 3rd District. 

“Rather than taxing jobs, hurting businesses and regressing back to the full implementation of an extremely unpopular tax, the MTA should be looking within and cleaning up its own fiscal backyard.” 

Murray’s hard-standing statement is part of a multi-member plea from he and like-minded leaders to Governor Kathy Hochul and the assorted democratic leadership this week. Republican representatives especially resist all restitution proposals regarding the MTA’s budget crisis.

The payroll tax applies to businesses located within five boroughs of New York City, and the suburban counties of Dutchess, Orange, Putnam, Rockland and Westchester. 

And also Suffolk and Nassau.

Senator Alexis Weik, of the 8th senatorial district, singles out increased bridge tolls, increased train fares and congestion pricing as grave concerns in addition to the MTA payroll tax. 

No good came from the former three, and none will here either, Weik posits. “These taxes are driving businesses and families out of New York.” 

Ashley Ranslow, New York State Director for the National Federation of Independent Businesses (NFIB), says gross mismanagement brought upon the small-business “breaking point.”

“The Empire State already has some of the highest taxes in the nation, putting small businesses at a severe competitive disadvantage."

The MTA payroll tax already increased two years ago, Ranslow notes, adding that it is “baffling that Albany is already talking about another tax hike.” 

On behalf of her organization, Ranslow confirms the “NFIB adamantly opposes any kind of tax increase on hardworking small businesses, otherwise, there will be more vacant storefronts and a higher cost of living for all New Yorkers.”

Ken Pokalsky, Vice President of the Business Council of New York State, Inc., states employers already pay approximately $3 billion annually in the MTA payroll tax, and another $2.5 billion in business tax surcharges.

Alternative options need consideration at this juncture, Pokalsky concurs. 

“Where does it end?” Senator Weik asks. “If we keep giving the MTA endless streams of money, when will they ever learn to run efficiently?”

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